Global Bunker Fuel Market Growth, Trends, and Forecasts 2022-2027 – LNG as a Bunker Fuel is Likely to Witness Significant Growth – ResearchAndMarkets.com

DUBLIN–(BUSINESS WIRE)–The “Bunker Fuel Market – Growth, Trends, COVID-19 Impact, and Forecasts (2022 – 2027)” report has been added to ResearchAndMarkets.com’s offering.

The bunker fuel market was valued at USD 97 billion in 2019, and it is expected to reach USD 210 billion by 2027, registering a CAGR of more than 13% during the forecast period of 2022-2027.

The COVID-19 pandemic slowed down and delayed shipping and ship crew movements in many countries, and due to this, the logistics and supply chain industries were disrupted, resulting in major losses to the transportation sector, including the shipping industry.

This disruption was caused on both sides, i.e., the demand side and the supply side, and it is likely to pave the way for the permanent shutdown of some industrial manufacturing facilities, leading to reduced global trade. This factor is expected to have a negative impact on the demand in the bunker fuel market. However, the increasing preference for LNG-based vessels and growing LNG trade are likely to be significant factors driving the bunker fuel market demand during the forecast period.

With the imposed restriction on HSFO, post-2020, VLSFO is expected to create substantial market demand. However, with increasing trade tensions between different countries like the United States and China, high tariffs and other trade barriers are being imposed on various goods. This factor is likely to hinder the market growth during the forecast period.

With the International Maritime Organization’s intervention to decrease the share of high sulfur fuel oil, the demand for LNG as a bunker fuel is expected to rise significantly during the forecast period.

Developing sea trade routes and rising international marine trade are expected to offer tremendous opportunities for marine fuel suppliers in the coming years.

Asia-Pacific is expected to dominate the market during the forecast period, with the majority of the demand coming from countries like China, India, etc.

LNG as a Bunker Fuel is Likely to Witness Significant Growth

The LNG bunkering market has evolved over the past decade, driven by the growth in global LNG usage, clean energy demand, and its ability to reduce greenhouse gas emissions. The order and delivery of LNG-powered vessels are increasing, and the reduced natural gas prices in 2014 marked the beginning of expanding opportunities for such vessels.

LNG-based vessels’ operational cost is expected to be the least among all the fuel alternatives as the new emission regulation is being implemented as mandated by the International Maritime Organization.

Further, a gradual shift to LNG for propulsion is more advantageous than the traditional methods of fueling ships with heavy fuel oil, marine gas oil, marine diesel oil, etc. LNG-based propulsion reduces carbon footprint significantly and increases the ship’s operational efficiency.

As of 2021, there are 229 LNG-fueled ships in operation, while 404 ships were in order (according to Sea LNG). This indicates the shipping industry’s commitment to adopt LNG as a marine fuel across the world.

The LNG bunkering industry also registered significant investments in the construction of infrastructure. As a result, ship owners, particularly the ones that are operating in the European or American Sea, now prefer LNG-based vessels over conventional vessels. The LNG-fueled ships have not penetrated the market for bulk carriers to a significant extent, as these ships are designed to carry heavy loads, and LNG technology is relatively new to apply for this type of vessel. The bulk carriers amount to the largest share of in-operation ships.

Although LNG presents an impressive use case as bunker fuel, it has not penetrated deeply into the bulk carrier sector, which accounts for the largest share of in-operation ships across the world.

Thus, LNG as a bunker fuel presents an impressive picture, and it is likely to witness widespread adoption as the fuel of choice.

Competitive Landscape

The bunker fuel market is fragmented. Some of the major players in the market include Gazpromneft Marine Bunker LLC, Exxon Mobil Corporation, Royal Dutch Shell PLC, TotalEnergies SE, and BP PLC.

Key Topics Covered:

1 INTRODUCTION

1.1 Scope of the Study

1.2 Market Definition

1.3 Study Assumptions

2 EXECUTIVE SUMMARY

3 RESEARCH METHODOLOGY

4 MARKET OVERVIEW

4.1 Introduction

4.2 Market Size and Demand Forecast in USD billion, till 2027

4.3 High Sulfur Fuel Oil, Very Low Sulfur Fuel Oil, Marine Diesel Oil, and LNG Bunkering Consumption, 2018-2027

4.4 Scrubbed and Un-scrubbed High Sulfur Fuel Oil Consumption, in million barrels per day, 2018-2027

4.5 List of the Ship Owners, Global, as of 2020

4.6 List of Bunkering Companies, Global, as of 2020

4.7 Recent Trends and Developments

4.8 Government Policies and Regulations

4.9 Market Dynamics

4.10 Supply Chain Analysis

4.11 Porter’s Five Forces Analysis

5 MARKET SEGMENTATION

5.1 Fuel Type

5.1.1 High Sulfur Fuel Oil (HSFO)

5.1.2 Very Low Sulfur Fuel Oil (VLSFO)

5.1.3 Marine Gas Oil (MGO)

5.1.4 Liquefied Natural Gas (LNG)

5.1.5 Other Fuel Types

5.2 Vessel Type

5.2.1 Containers

5.2.2 Tankers

5.2.3 General Cargo

5.2.4 Bulk Carriers

5.2.5 Other Vessel Types

5.3 Geography

5.3.1 North America

5.3.2 Asia-Pacific

5.3.3 Europe

5.3.4 South America

5.3.5 Middle-East and Africa

6 COMPETITIVE LANDSCAPE

6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements

6.2 Strategies Adopted by Leading Players

6.3 Company Profiles

6.3.1 Fuel Suppliers

6.3.1.1 Exxon Mobil Corporation

6.3.1.2 Royal Dutch Shell PLC

6.3.1.3 Gazpromneft Marine Bunker LLC

6.3.1.4 BP PLC

6.3.1.5 PJSC Lukoil Oil Company

6.3.1.6 TotalEnergies SE

6.3.1.7 Chevron Corporation

6.3.1.8 Clipper Oil

6.3.1.9 Gulf Agency Company Ltd

6.3.1.10 Bomin Bunker Holding GmbH & Co. KG

6.3.2 Ship Owners

6.3.2.1 AP Moeller Maersk AS

6.3.2.2 Mediterranean Shipping Company SA

6.3.2.3 China COSCO Holdings Company Limited

6.3.2.4 CMA CGM Group

6.3.2.5 Hapag-Lloyd AG

6.3.2.6 Ocean Network Express

6.3.2.7 Evergreen Marine Corp Taiwan Ltd

6.3.2.8 Yang Ming Marine Transport Corporation

6.3.2.9 HMM Co. Ltd

6.3.2.10 Pacific International Lines Pte Ltd

7 MARKET OPPORTUNITIES AND FUTURE TRENDS

For more information about this report visit https://www.researchandmarkets.com/r/u9pkb4

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